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China plans three-tier data strategy to avoid U.S delistings - FT

Published 07/24/2022, 02:21 AM
Updated 07/24/2022, 02:45 AM
© Reuters.

(Reuters) - China plans to sort U.S.-listed Chinese companies based on the sensitivity of the data they hold in an attempt to stop U.S. regulators from delisting hundreds of firms, the Financial Times said on Saturday.

The three-tier system aims to bring Chinese companies into compliance with U.S. rules that would require public companies to let regulators inspect their audit files, the FT said, citing four unnamed people with knowledge of the situation.

The three broad categories include companies with non-sensitive data, sensitive data and secretive data, the newspaper said.

Reuters could not immediately reach the CSRC for comment during non-business hours on Sunday.

Washington has long demanded complete access to the books of U.S.-listed Chinese companies, but Beijing, citing national security concerns, bars foreign inspection of working papers from local accounting firms.

Reuters reported in March that Chinese regulators had asked some of the country's U.S.-listed firms, including Alibaba (NYSE:BABA) Group Holding Ltd, Baidu Inc (NASDAQ:BIDU) and JD (NASDAQ:JD).com Inc to prepare for more audit disclosure.

In April, Reuters reported China and U.S. regulators were discussing operational details of an audit deal that Beijing hoped to sign this year to keep Chinese companies listed on U.S. exchanges.

Latest comments

Most Americans shouldn't be investing in any stock market, because the odds of winning are greater in Vegas. The entire US market is built on big money ripping off small money. Media kicks up tons of dust, and never tells full truth about anything. That's what the neoliberal college the boys and girls did to their country. Rumped their own body of support, repeatedly.
investors care more for their profits than politics ..where to find more profits investors would go there
American stock market operates under SEc regulations. If you can’t comply with local US rules like other US companies, too bad! Out you go! EOS!
just get them off the US exchanges.  Americans should not be investing in CCCP any more than people were investing in Nazi Germany in WWII.   THis is national security at stake.
Stop buying ****from china ups iPhones too
Tesla too Chinese shiiit
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